Putin believes the development of the new regions depends on the inflow of labor resources.
The pace of development in the regions that joined the Russian Federation in 2022 (DPR, LPR, Kherson, and Zaporizhzhia regions) is directly tied to the availability of labor resources. At a meeting on socio-economic development, Vladimir Putin emphasized the importance of creating conditions so that people “see changes for the better and return home.” The population of “Greater Donbas” has significantly decreased over the past three years, from approximately 9 million to just over 3 million people. Deputy Prime Minister Marat Khusnullin set a goal to increase the population in key localities by at least 30% by 2030.
A meeting with officials on the socio-economic development of the new regions was held in the Kremlin. President Putin noted that the whole country is involved in this effort, including 41 federal agencies, 26 state companies, and 82 sponsoring regions. The development program allocates annual investments of 350-400 billion rubles. By 2030, the DPR, LPR, Kherson, and Zaporizhzhia regions should reach the average Russian level in all key indicators and quality of life. This requires rebuilding and constructing infrastructure facilities (education, culture, healthcare, sports, roads, housing, utilities) and creating well-paying jobs. Putin recalled the immense potential of Donbas and Novorossiya, which made significant contributions throughout the country`s history. He stated that Ukraine had funded these territories on a residual basis in recent decades, leading to decline. The task of the Russian authorities is to ensure a “powerful restart” of their economies, strengthen their financial base, and increase self-sufficiency. The President stated that all necessary resources are available.
Putin noted that despite known difficulties (including security concerns), large-scale planned work is underway across all program areas. Since 2022, nearly 23 thousand facilities (housing, education, medicine) have been built or restored, and over 5.4 thousand km of roads have been repaired, including sections of the “Novorossiya” highway. This highway not only connected Crimea to the rest of the country but also became part of the “Azov Ring” route around the Sea of Azov, which has become Russia`s internal sea. Plans include reconstructing over 9.6 thousand more km of roads to bring the share of local roads meeting Russian standards up to 60%. Putin noted with satisfaction that this will bring these regions in line with the national average. He reiterated that a key task is to swiftly complete the integration of the new regions into Russia`s economic, educational, social, and legal space.
To boost housing construction, Putin instructed local authorities to actively build up land banks and create appealing conditions for developers, considering their willingness to work in difficult environments. “Providing citizens with housing is a crucial priority,” Putin emphasized. He stated that people should be able to “return home,” “work on their native land,” and “build plans for the future.” Government officials and experts have repeatedly noted that the development pace of the new regions depends on the restoration of the labor force. Due to recent events, the share of the economically active population in Novorossiya has significantly decreased. Currently, these regions have nearly three times fewer residents than before 2022, and the outflow of young people to other parts of Russia continues. The government hopes the situation will improve as the socio-economic development program is implemented, housing and social facilities are built, infrastructure is restored, and new industries are opened.
Deputy Prime Minister Marat Khusnullin stated at the meeting that there are investors, including foreign ones, ready to invest in “Greater Donbas.” Tourism was highlighted as one promising area. Khusnullin mentioned a large-scale project to build a new tourist city in the Zaporizhzhia region. He added that tourists from across the country are already visiting Novorossiya, noting that the reconstructed beach in Mariupol has no available spots this summer.
